7 8 LONG TITLE9 General Description:10 This bill amends provisions related to performance funding metrics for higher11 education institutions.12 Highlighted Provisions:13 This bill:14 ▸ defines a term;15 ▸ adds a metric for measuring the performance of higher education institutions for16 performance funding; and17 ▸ makes technical and conforming changes.18 Money Appropriated in this Bill:19 None20 Other Special Clauses:21 None22 Utah Code Sections Affected:23 AMENDS:24 53B-7-702, as enacted by Laws of Utah 2017, Chapter 365 and last amended by25 Coordination Clause, Laws of Utah 2017, Chapter 38226 53B-7-706, as enacted by Laws of Utah 2017, Chapter 36527 28 Be it enacted by the Legislature of the state of Utah:29 Section 1. Section 53B-7-702 is amended to read:30 53B-7-702.Definitions.31 As used in this part:32 (1) "Account" means the Performance Funding Restricted Account created in Section33 53B-7-703.34 (2) "Competency-based" means a system where a student advances to higher levels of35 learning when the student demonstrates competency of concepts and skills regardless of time,36 place, or pace.37 [(2)] (3) "Estimated revenue growth from targeted jobs" means the estimated increase38 in individual income tax revenue generated by individuals employed in targeted jobs,39 determined by the Department of Workforce Services in accordance with Section 53B-7-704.40 [(3)] (4) "Full new performance funding amount" means the maximum amount of new41 performance funding that a higher education institution or technical college may qualify for in42 a fiscal year, determined by the Legislature in accordance with Section 53B-7-705.43 [(4)] (5) "Full-time" means the number of credit hours the board determines is full-time44 enrollment for a student. 45 [(5)] (6) "GOED" means the Governor's Office of Economic Development created in46 Section 63N-1-201.47 [(6)] (7) "Higher education institution" means the same as that term is defined in48 Section 53B-7-101.49 [(7)] (8) "Job" means an occupation determined by the Department of Workforce50 Services.51 [(8)] (9) "Membership hour" means 60 minutes of scheduled instruction provided by a52 technical college to a student enrolled in the technical college.53 [(9)] (10) "New performance funding" means the difference between the total amount54 of money in the account and the amount of money appropriated from the account for55 performance funding in the current fiscal year.56 [(10)] (11) "Performance" means total performance across the metrics described in:57 (a) Section 53B-7-706 for a higher education institution; or58 (b) Section 53B-7-707 for a technical college.59 [(11)] (12) "Research university" means the University of Utah or Utah State60 University.61 [(12)] (13) "Targeted job" means a job designated by the Department of Workforce62 Services or GOED in accordance with Section 53B-7-704.63 [(13)] (14) "Technical college graduate" means an individual who:64 (a) has earned a certificate from an accredited program at a technical college; and65 (b) is no longer enrolled in the technical college.66 [(14)] (15) "Utah System of Technical Colleges" means the Utah System of Technical67 Colleges described in Chapter 2a, Utah System of Technical Colleges.68 Section 2. Section 53B-7-706 is amended to read:69 53B-7-706.Performance metrics for higher education institutions --70 Determination of performance.71 (1) (a) The board shall establish a model for determining a higher education72 institution's performance.73 (b) The board shall submit a draft of the model described in this section to the Higher74 Education Appropriations Subcommittee and the governor for comments and75 recommendations.76 (2) (a) The model described in Subsection (1) shall include metrics, including:77 (i) completion, measured by degrees and certificates awarded;78 (ii) completion by underserved students, measured by degrees and certificates awarded79 to underserved students;80 (iii) responsiveness to workforce needs, measured by degrees and certificates awarded81 in high market demand fields;82 (iv) institutional efficiency, measured by degrees and certificates awarded per full-time83 equivalent student; [and]84 (v) increased access to competency-based coursework and evidence-based online85 coursework; and86 [(v)] (vi) for a research university, research, measured by total research expenditures.87 (b) Subject to Subsection (2)(c), the board shall determine the relative weights of the88 metrics described in Subsection (2)(a).89 (c) The board shall assign the responsiveness to workforce needs metric described in90 Subsection (2)(a)(iii) a weight of at least 25% when determining an institution of higher91 education's performance.92 (3) For each higher education institution, the board shall annually determine the higher93 education institution's:94 (a) performance; and95 (b) change in performance compared to the higher education institution's average96 performance over the previous five years.97 [(4) On or before September 1, 2017, the board shall report to the Higher Education98 Appropriations Subcommittee on the model described in this section.]99 [(5)] (4) The board shall use the model described in this section to make the report100 described in Section 53B-7-705 for determining a higher education institution's performance101 funding for a fiscal year beginning on or after July 1, 2018.

Legislative Review NoteOffice of Legislative Research and General Counsel